Tuesday, March 4, 2008

Deutsche Telekom to Drop IPTV Charges by 17%

Deutsche Telekom announced that it will drop the prices for its IPTV service by 17 percent. This service is now available to 17 million homes in Germany.

The basic package will now cost €49.95 per month (down from €59.95) and include a 16 Mbps data service , 70 broadcast channels, video on demand, free calls to German fixed lines and a DVR. The premium packages will cost €59.95 and €69.95 per month.

This seems like death by a thousand cuts. Deutsche Telekom has been trying to get a high price for its IPTV service by European standards. Many other carriers offer it for free as a basic part of a broadband subscription or for a very low monthly fee. TeliaSonera in Sweden saw its IPTV service languish until it started offering it for free last year. Its IPTV sales took off at that point.

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